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Alaska Airlines says expects USD 150M hit from 737 MAX grounding

25 January 2024, MVT 19:19
A Boeing 737-900er passengers aircraft of Alaska Airlines on its way to San Francisco is seen before take-off at John F. Kennedy Airport on January 8, 2024. The US Federal Aviation Administration on January 21, 2024 has recommended that airlines inspect door plugs on Boeing 737-900ER jets after a blowout on another type of aircraft with a similar mid-cabin exit earlier this month. -- Photo: Charly Triballeau / AFP
25 January 2024, MVT 19:19

Alaska Airlines said Thursday it expects a USD 150 million hit from the Boeing 737 MAX grounding, which will limit its capacity growth in 2024.

The airline, which executed an emergency landing on a MAX on January 5 following the mid-flight blowout of a panel on the jet, disclosed the estimates in a securities filing, saying capacity growth will be "at or below the lower end" of its prior estimate.

US air regulators grounded 171 MAX 9 planes following the incident that led to an emergency landing in an episode that safety officials said could have been catastrophic.

On Wednesday night, the Federal Aviation Administration announced a detailed inspection framework that would allow the grounded planes to return to service.

Alaska Airlines, which has 65 planes affected by the grounding, expects to bring the jets back into service beginning Friday.

"The first of our 737-9 MAX will resume flying on Friday, Jan. 26, with more planes added every day as inspections are completed and each aircraft is deemed airworthy," the carrier said.

"We expect inspections on all our 737-9 MAX to be completed over the next week."

In Thursday's securities filing, Alaska said it expects a "gradual return" of the fleet through early February.

© Agence France-Presse

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